Diversify your Retirement Funds
Investors with self-directed IRAs and Solo 401(k)'s have an excellent option to diversify their retirement assets outside of stocks and bonds into real estate investments. Avestor supports capital from self-directed IRAs and Solo 401(k) accounts. We have provided answers to some frequently asked questions.
What is a Self-Directed IRA?
Can I transfer self-directed IRA funds or Solo 401(k) funds into my existing account?
No. Investors need to set up a separate account for retirement funds.
Can I invest through a self-directed IRA and Solo 401(k)?
Accredited investors can join an Avestor real estate fund using capital from a self-directed IRA through a custodian. Investors can also send money directly from their Solo 401(k) plans.
Does Avestor charge fees for supporting self-directed IRAs or Solo 401(k)'s?
Avestor does not charge any fees for accepting self-directed IRA or Solo 401(k) funds.
What is the process for completing an investment?
For Solo 401(k)s, you can send money directly to Avestor.
Is all income from investments tax-deferred?
Interest received from investments is generally tax-deferred. For Self-Directed IRAs, on equity investments, most income is tax deferred but you may receive Unrelated Business Taxable Income (UBTI) from some equity investments. Any UBTI income would be taxable. Any pass through UBTI will be reported to your on your Avestor K-1. Please work with your tax accountant to ensure you pay any necessary taxes on UBTI income.
Which custodians can I open a Self-Directed IRA with?
Avestor has partnered with the following SD-IRA custodians:
What is a Solo 401(k)?
A Solo 401(k) is a retirement account design for self-employed or businesses with with no full-time employees. The Solo 401(k) plan offers many of the same benefits as a traditional 401(k) plan. It allows the business owner to make contributions as both the employer and the employee, maximizing their contributions.
While Avestor does not charge any fees to support SD-IRA accounts, custodians do charge fees. Click on the links to get more detailed information on fees charged by custodians to manage or SD-IRA accounts.